De Bitcoin course is currently hovering just below the crucial $105.000 mark. Tensions are rising, and it seems that a major breakout is imminent. Both technical indicators and on-chain data indicate that Bitcoin is preparing for a new, potentially explosive, upward movement.
A striking pattern is now emerging: the bull flag. This is a continuation pattern that often follows a strong price increase, followed by a period of sideways or slightly downward price action. Once the price breaks above the resistance line of this pattern, a strong continuation of the upward trend is usually the result. The current consolidation of Bitcoin shows clear similarities with a bull flag, which opens the door to possibly new all-time highs.
During the recent surge from $75.000 to $105.000, there was a strong inflow into spot Bitcoin ETFs. Additionally, spot volumes increased significantly and massive liquidations took place, indicating increased activity among both retail and institutional investors. However, the $105.000 area also seems to be a point where many investors are taking profits.
The numbers paint a hopeful picture. Short-term holders (STHs) are currently realizing profits that have increased, but are still nowhere near the highs seen during previous bull cycles. This suggests that there is room for further price increases.
However, not everything is rosy. There is a risk of a short-term correction. A possible pullback to the support zone between $100.000 and $90.000 is not out of the question. I would not be surprised to see a BTC sell-off in the short term, especially if stocks reverse and form a higher bottom. Considering that many stocks have risen by 30% to 50% in a month, that is not surprising.
What are the most important indicators for the Bitcoin price at the moment?
Key indicators include the forming bull flag, inflows into spot Bitcoin ETFs, and strong investor activity, all signaling potential price increases.
What does the bull flag mean for the future of Bitcoin?
A bull flag often indicates a continuation of an uptrend after a period of consolidation. This could mean that we will soon see a new rise, possibly even towards new all-time highs.
Is there a chance that Bitcoin will pull back?
Yes, there is definitely a risk of a pullback. Analysis suggests that a dip to $100.000 to $90.000 is possible, especially in response to stock market fluctuations.